Back on the Rails: Competition and Productivity in State-owned Industry

Sanghamitra Das, Kala Krishna (), Sergey Lychagin and Rohini Somanathan

No 15976, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We use a proprietary data set on the floor-level operations at the Bhilai Rail and Structural Mill in India to understand the determinants of changes in plant productivity in 2000-2003. During this period there was a 35 percent increase in output with minimal changes in factors of production, but sizable reductions in production delays. We model interruptions to the production process and find that a large part of these reductions are attributable to training. Our results suggest that specific knowledge-enhancing investments can have very high returns, and that the threat of competition provides powerful incentives to undertake such investments.

JEL-codes: J24 J48 L32 L61 (search for similar items in EconPapers)
Date: 2010-05
Note: ITI
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Published as Sanghamitra Das & Kala Krishna & Sergey Lychagin & Rohini Somanathan, 2013. "Back on the Rails: Competition and Productivity in State-Owned Industry," American Economic Journal: Applied Economics, American Economic Association, vol. 5(1), pages 136-62, January.

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Related works:
Journal Article: Back on the Rails: Competition and Productivity in State-Owned Industry (2013)
Working Paper: Back on the Rails -- Competition and Productivity in State-owned Industry (2010)
Working Paper: Back on the Rails: Competition and Productivity in State-owned Industry (2010)
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